Belgium will release 260,000 barrels of diesel fuel from its strategic reserves. The amount is equivalent to 35,000 tonnes of oil equivalent and is part of international efforts to increase fuel supplies and ease pressure on the oil market.
The decision was made following pressure from the United States. Belgium had long refused to use its reserves, but has now committed to participating in collective measures coordinated by the International Energy Agency.
“Belgium has indeed committed to contributing to international efforts to make strategic oil reserves available as part of the collective action of the International Energy Agency,” the office of Federal Energy Minister Mathieu Bihet said.The minister’s team specified that releasing the fuel would not jeopardize the security of supplies in the country. The available reserves will remain sufficient to cover consumption for more than 90 days.
The fuel will not directly reduce prices in Belgium
The Belgian government will not use the released volumes to directly lower prices at petrol stations. The reason is that national legislation requires fuel from the reserves to be sold at market prices.
This distinguishes the Belgian approach from that of France. French authorities announced the gradual release of 10 million liters of diesel fuel from strategic reserves, after which diesel prices in France fell sharply.
The Belgian measure is aimed at fulfilling the international commitment to release strategic reserves, rather than subsidizing fuel for local consumers. The volumes will be placed on the market under the conditions set out in Belgian rules.
Sources: bta.bg, brf.be, euronews.com